In an impressive display of growth, Vertiv reported strong earnings and orders, propelling its stock to record highs. This positive development has also translated into gains for artificial intelligence (AI) stocks like Nvidia, Super Micro Computer, and Broadcom.

Vertiv's earnings surged by an impressive 79% to reach 43 cents per share, surpassing analyst expectations. However, it's worth noting that the company's growth rate has slowed for the third consecutive quarter. Despite this, revenue still rose by 8% to $1.64 billion, slightly exceeding projections. Additionally, in terms of organic orders, Vertiv experienced a remarkable 60% increase in constant currency.

Encouraged by these exceptional results, the company has revised its full-year EPS guidance, which is broadly in line with the consensus forecast. As a result, Vertiv's stock soared by nearly 18% to reach $93.26, reaching an all-time high. Furthermore, the stock experienced a 4% increase on Tuesday following a 50-day line on Monday.

Although Vertiv does not directly participate in the AI industry, its position as a manufacturer of coolant systems for data centers positions it as a de facto AI player. Consequently, the company's robust performance serves as a positive signal for AI demand at a time when investors have expressed uncertainty.

The positive sentiment extends to other AI stocks that experienced a temporary setback last Friday. Super Micro caused some concern among AI investors as they failed to provide any preliminary guidance in their earnings release, leading to a 23% decline in their stock price. This also caused a 10% drop in Nvidia's stock and a 4.3% dip for Broadcom, resulting in a 10.4% weekly decline for the latter. However, these stocks have rebounded this week, adding to their gains on Wednesday.

Nvidia's stock rose by 1.1% and is currently up by 8.2% so far this week, edging closer to the 50-day line. Super Micro witnessed a 4% increase, following a 6.8% gain at the start of the week. Lastly, Broadcom's stock made early advances of 2% on Wednesday, building on a 3.7% climb on Monday and Tuesday.

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In conclusion, Vertiv's strong earnings have provided a significant boost to the AI sector, with Nvidia, Super Micro, and Broadcom all experiencing gains. These positive results bode well for AI demand, as investors continue to navigate uncertain market conditions.